Morning journal and courier., 1887-03-24
MORE OPPOSING THE SALE.

A Further Hearing Before the Board
Of Finance at which Citizens Present
Arguments Against she Proposed
Sale of the Derby Fkoad-They Think
The Cfty's Interest Worth More Than
rs OAered-Mr. joel A. Sperrys James
G.. English and Judge sheldon Ad-
dress the Board-The Derby's Pres1-
dent Corrects Certain Misstatements
Aud Tells what the Derby Gould DO
In Eighteen MOnths-A Plan Pro-
posed to Run the Derby to the West
Shore-W1n More Propositions Be
Made4
The hearing on the proposition to sell the
city's interest in the Little Derby was re-
sumed before the finance committee last eve
ming at the City Hall. The announcement
that the stockholders of the road had decided
to favor the sale to the Housatonic apparent
ly had no effect on the opposition. The
meeting was called to order by Alderman
Dickerman, but Mayor York, the committee
chairman, dropped in later. When the hear
ing opened there were only about dozen
spectators present. James G. English, of
the firm of English & Mersick, was the first
witness called by Mr.. ]. B. Sargent. 81 ana
very much opposed to the sale under the
terms proposed" said Mr.. English.
"I wouldn't like for the city to
part with its interests under the terms,
as Pm afraid the rest of the stockholders
might be slaughtered. The western termi-
nal perhaps might be good thing, however.
Under the existing state of things 1 shouldn't
nursed it up to the present time I should, If
l owned the road myself not jump at this
offer, but wait until could get something
for it. The road is worth great deal more
than $175, 900. should think there would be
unanimity of feeling as to the price offered
being too small. On the the face of it this
seems apparent. The franchise of the road
in my own mind is worth a good
deal more mony and sometime someone will
offer great deal better price. 1t they didn't
I'd keep it. 1 want all the small stockhold
ers, who are quite numerous, to get the same
price as the city.
Mr.. Gessner-How much do you consider
the Derby's franchise worth?
Mr. English consider it worth fully half
million of dollars. 1 don't know of road
that can get the railroad right of way into the
city that the Derby has for a much smaller
sum than half million.
Mayor York-Do you see any objection to
the buyers of the city's stock purchasing ths
stock of the individual stockholders at fair
price within certain period of time?
Mr.. English-Without a price was fixed I
should consider it difficult to answer. The
question would be what the fair price is. If
the price was based on the SITS, 900 for the
city's interest should most decidedly oppose
it.
81 have general idea to the propriety
of the sale" said Mr.. Ruel P. Cowles of the
firm of G. Cowles & Co. GAS the city has
expended million of dollars for this road and
it is now in healthy condition 1 should think
there would be serious opposition to the sale
for the price offered. Other offers are on
the tspis. 1 understand and it is stated that
the parties making these offers will comply
with all the necessary obligations which
would be optional on the part of the Housa-
tonic. also know the parties who have
offered $3.50, 900, but am not liberty to
state who they are: I'd sell when l could
get good price with the conditions that the
grade crossings should be abolished and
that the city should not lose its grip on
the road as competing line.
The Water street crossing should, in my
opinion, be bridged Immediately if a transfer
was made.
Mr.. Sargent-The offer of $500, 900 will no
doubt be made in due time to the Court of
Common Council and not to this committee.
Mayor York ruled that all propositions
regarding the purchasing of the city's interest
in the Derby road be made to the committee.
Mr.. Lucius w. Sperry was next sworn. He
said: GA strong guarantee should be made
pf tboss r tho bsvs vsn 9Ps
money for beneftting the business
of the city. If anything can be arranged to
properly care for these individual stockhold
eIs wouldn't oppose the sale If the proper
guarantees were made. If this trade is to be
made without a guarantee, why make
the largest price, why take it, and then take
the consequences. I believe the western
terminus would be good thing, but the
price should be greater"
Judge Joseph Sheldon said: 81 have this
to say about the matter. 1 have an impress
sion that this is not very good time to sell
the road and I think the price is
altogether too small. If I owned the road I'd
wait for better price. If we wait awhile
think it would be much more judicious. This
is the first proposition and think there
others who will offer more for the road
The next speaker was President Joel A.
Sperry of the Derby. He denied emphatic
ally that he was Influenced in any way by the
Consolidated road: also denied that he or any
of his help had any special favors or rates
either from the Consolidated road the
Starin line. His firm had better rates
than any other. The same was the case as
regards the firms business over the Derby
road. Mr.. Sperry then gave a statement of
how the Derby road had improved in all
points in the last few years and how it was
steadily improving.
President SpeIry continuing said: The
Naugatuck Valley is continually growing. L
was born up it and know this to be true.
The mile age of the road has been increased.
There is also greatly felt want for a west
shore connection with the Derby to take in
West Haven, and if the road remains as it is
it will surely come. When it does connect
at this point it will open up an excellent
field for the Derby. 1t is one of the first
shore aesorts of the State, and constantly
growing and bound to grow. The people
want this connection. 1t would add large
passenger traffic to the road eight months of
the year. There can be road built to West
Haven, and it should be done. Here also is
the earnings of the Derby road. #
the city sells it or loses control
of it they would have nothing to say about
it. The gentlemen composing the Housa-
tonic Valley company have right intentions
no doubt. These gentlemen propose to build
an extension from Shelton to Sandy Hook or
1t would then go into the
hands of the New England none of whose
are Connecticut men and whose
directors or stockholders have no interest in
New Haven. When the Housatonic Valley
company part with the road or
turn it over to New England
the bonds, guarantees,
etc., you talk OF wouldn't be valid You
can sue Who will you reach? The road
will then be run to suit the New York and
New England management. There will then
be lack of accommodation to the public,
because train run now merely for the sake
Of obliging the public would be discon-
tinued."
At the close of President Sperry's remarks
the board adjourned until tomorrow after
noon at O'Clock, when the committee from
Seymour will be heard.
a Ton